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Monsanto Caves to Activists on Biotech Wheat

Friday, May 14, 2004

By Steven Milloy

Is it better to feed the poor and make money, or appease Greenpeace and do neither?

Biotech giant Monsanto's management faced that very question this week and opted to cave in to Greenpeace. It's another example of craven shortsighted corporate managers surrendering to pressure from anti-business activist groups to the detriment of corporate shareholders and the public.

Monsanto announced this week that it was "shelving" plans to commercialize its genetically engineered wheat. The company denied succumbing to activist pressure in scrapping plans for the first biotech wheat, claiming instead that hard-nosed business calculations forced the decision. Monsanto's spin was that the initial market targeted (spring wheat acreage in North America) had shrunk by 25 percent since research on biotech wheat began in 1997 and that its grower-customers are divided on whether to use the technology.

Greenpeace had a quite different take on Monsanto's decision. "It's a hard-won victory for every environmental group, every consumer, every cyberactivist who has said 'no' to genetically engineered foods. The decision fits a pattern of industry retreat set last month by Bayer CropScience's (search) decision to withdraw GE maize from the UK," said Greenpeace.

Some growers may indeed be concerned about biotech wheat -- but only because Greenpeace and the rest of the anti-biotechnology/anti-business axis did a better job of scaring farmers, food processors and consumers about the technology than Monsanto did in selling it.  After all, there are no health, safety or ecological reasons for concern about biotech wheat. It was headed for regulatory approval. Now it's headed for the scrap heap as development has been "deferred for four to eight years," according to Monsanto management.

Biotech wheat wasn't the only beneficial technology canned by Monsanto this week. The company also decided to close down its genetically modified canola operations in Australia -- once again thanks to anti-technology fear mongering. Greenpeace anti-GM campaigner Jeremy Tager celebrated by telling Australian media, "Effectively there is not going to be a commercial release of GM canola and to have defeated that is pretty extraordinary."

Whatever short-term gains Monsanto management thinks it may reap from its retreat on biotech wheat, they do not outweigh the long-term damage done.

First, agricultural biotechnology is a key component of any serious plan for feeding our planet's ever-growing population. Biotechnology can help produce more and better quality agricultural products in a cost-effective and environmentally sound manner. But Monsanto's corporate management has just sacrificed two new and beneficial agricultural technologies simply because of its own stunning failure to defend its product against pressure from the lunatics at Greenpeace.

Such appeasement only encourages anti-technology activists, whose goal is not to ensure that only "safe" biotech crops are developed, but to make sure that no biotech crops are planted at all. Don't think that Greenpeace's anti-technology activism is limited to agricultural biotechnology. They oppose many technologies, including, of all things, plastic intravenous (IV) bags because of the chemicals used in their production.  

Monsanto's decision on canola "certainly puts us behind the eight-ball and sends a bad signal to anyone wanting to invest in new technologies ... ," the head of the Grains Council of Australia said to Reuters.

It used to be that all technologies had to do to achieve societal acceptance was to work and work safely. Do they also now need to be approved by activist groups whose basic premise is that technological advances are bad? Who appointed them as guardians of the public good? The activist-to-corporate management decision-making route is also alarming because of its backdoor nature -- it circumvents our public political and regulatory processes.  

If Greenpeace and Monsanto's wobbly-kneed management get to decide what agricultural biotechnology can be commercialized, then why have a Food and Drug Administration, an Environmental Protection Agency or a Department of Agriculture? There is no doubt that regulatory agencies have their own set of problems, but at least they can be accountable through the political process.

Make no mistake that Monsanto's appeasement sets a terrible precedent for other biotech companies who want to develop new products. It empowers the activists. It intimidates investors. It creates a chilling effect throughout corporate America with management cowering at the prospect of being the next company to be targeted by a baseless activist campaign.   

Regulation through aggressive activism coupled with wimpy corporate management doesn't bode well for our political system or our economy. It will hamper our ability to innovate and create jobs. It's a threat to our entire free enterprise and free market system -- precisely the targets of the left-leaning activists groups like Greenpeace.

Monsanto's shareholders can strike a blow for free enterprise by sending a sharp message to CEO Hugh Grant -- "stand up for our company's products and stop kowtowing to Greenpeace, or find a new job."


Steven Milloy is the publisher of JunkScience.com, an adjunct scholar at the Cato Institute and the author of Junk Science Judo: Self-Defense Against Health Scares and Scams (Cato Institute, 2001).


Anti-Meat Activists Target School Lunches
Thursday, May 27, 2004
By Steven Milloy
A health scare over school lunches is brewing. The driving forces behind the junk science-fueled scare are the usual suspects -- anti-meat and environmental activist groups, and politicians who do the groups' bidding.

I'm not going to criticize the groups and their politicians too much, though. Scaring the public in hopes of furthering their twisted agenda just seems to be what they do regardless of facts and any criticism directed their way. I will, however, blame a corporation that, ironically, isn't even involved with school lunch programs -- McDonald's.

For years now, activist groups such as the Center for Science in the Public Interest, Union of Concerned Scientists Natural Resources Defense Council and others have been trying to foment a scare about the use of antibiotics in farm animals. The groups have allied themselves under the banner of the Keep Antibiotics Working Campaign -- trying to give the impression that they're concerned about a rise in bacterial resistance to antibiotics used to treat humans.

This is, of course, utterly misleading.

To the extent there has been a rise in bacterial resistance to antibiotics used to treat humans, this is overwhelmingly due to the decades-old tendency of physicians to over-prescribe antibiotics. Despite this well-known cause of the antibiotic resistance problem, the Keep Antibiotics Working Campaign focuses solely on the use of antibiotics in farm animals -- a practice not persuasively linked to antibiotic resistance.

The simple facts are that the members of the campaign don't like animals being raised for human consumption, they don't like the farmers who raise the animals and they don't like the pharmaceutical companies that help the farmers. Having little traction with scientists, the activists necessarily have turned to like-minded politicians to advance their cause -- Sen. Hillary Clinton, D-N.Y., and Rep. Sherrod Brown, D-Ohio.

Earlier this year, Sen. Clinton and Rep. Brown wrote to the secretary of agriculture "inquiring" about the Department of Agriculture's plans to implement some language in a Senate-House conference report -- not a law, just some legislative commentary -- "strongly encouraging the Secretary to work to ensure that no chicken purchased for the School Lunch Program contains fluoroquinolones [a class of antibiotics used on farm animals], including the initiation of a policy to not purchase chickens for these programs from companies that do not have a stated policy that they do not use fluoroquinolones in their chickens."
 
Not surprisingly, Sen. Clinton and Rep. Brown did not -- because they could not -- reference any scientific basis for their requested ban on chickens treated with fluoroquinolones. They did, however, cite as precedent a recent announcement by McDonald's that the fast-food purveyor would not accept meat from suppliers who treated their chickens with fluoroquinolones.
 
McDonald's didn't have a scientific basis for its decision either, citing instead its desire to cooperate with the activist group Environmental Defense (part of the Keep Antibiotics Working Campaign) and its "commitment to social responsibility" (whatever that is). But that's not even the most outrageous part of the farce. Campylobacter, the target bacteria for fluoroquinolones, is killed by freezing. McDonald's doesn't sell fresh chicken -- only frozen chicken. So there's no chance that fluoroquinolone-resistant campylobacter could be passed along to consumers via McDonald's chicken offerings.

But wait, there's more. A report issued last year by the General Accounting Office on food-borne illness outbreaks related to school lunches indicated there was not a single outbreak of disease caused by campylobacter -- the bacteria that this whole debate is about. Moreover, even if there had been a school-lunch-associated campylobacter outbreak, fluoroquinolones-resistance wouldn't be an issue in any event since that class of antibiotics isn't generally used to treat children under 18 years of age.
 
The only things accomplished by McDonald's decision to ban chickens treated with fluoroquinolones were the appeasement of activists, and becoming a bogus example in the Clinton-Brown letter to the USDA about school lunches. McDonald's management may want us to think that it was "socially responsible" by banning fluoroquinolone use by its meat suppliers. But its actions do nothing to solve a problem that doesn't even exist.
 
It appears that McDonald's management, in its dubious quest for political correctness, hasn't given any of this any thought whatsoever. That, particularly as it contributes to the school lunch scare, is more "reprehensible" than "responsible."

Steven Milloy is the publisher of JunkScience.com, an adjunct scholar at the Cato Institute and the author of Junk Science Judo: Self-Defense Against Health Scares and Scams (Cato Institute, 2001).


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